Bill Text: TX HB3356 | 2011-2012 | 82nd Legislature | Introduced
Bill Title: Relating to the state's historically underutilized business program, including the establishment of a contractor point system.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2011-03-18 - Referred to State Affairs [HB3356 Detail]
Download: Texas-2011-HB3356-Introduced.html
| 82R14113 MTB-D | ||
| By: Miles | H.B. No. 3356 | |
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| relating to the state's historically underutilized business | ||
| program, including the establishment of a contractor point system. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Subchapter D, Chapter 2161, Government Code, is | ||
| amended by adding Section 2161.184 to read as follows: | ||
| Sec. 2161.184. POINT SYSTEM. (a) A state agency shall | ||
| require a contractor to undertake the good faith efforts described | ||
| by this section, to the extent required by the comptroller, on | ||
| projects subject to this subchapter. | ||
| (b) The comptroller shall adopt rules establishing points | ||
| to be awarded for taking each good faith effort and the minimum | ||
| number of points required, depending on project size, cost, type, | ||
| and other factors considered relevant by the comptroller. In | ||
| establishing the point system, the comptroller may not require a | ||
| contractor to earn more than 50 points, and the comptroller must | ||
| assign each of the efforts listed in Subsections (c)(1) through | ||
| (10) at least 10 points. A state agency may require that additional | ||
| good faith efforts be taken, as indicated in its bid | ||
| specifications. | ||
| (c) For purposes of the system established under this | ||
| section, good faith efforts include: | ||
| (1) contacting historically underutilized businesses | ||
| that reasonably could have been expected to submit a quote and that | ||
| were known to the contractor or available on state maintained lists | ||
| at least 10 days before the date the bid or proposal is due and | ||
| notifying the businesses of the nature and scope of the work to be | ||
| performed; | ||
| (2) making the construction plans, specifications, | ||
| and requirements available for review by historically | ||
| underutilized businesses or providing those documents to the | ||
| businesses at least 10 days before the date the bid or proposal is | ||
| due; | ||
| (3) breaking down or combining elements of work into | ||
| economically feasible units to facilitate historically | ||
| underutilized business participation; | ||
| (4) working with trade, community, or contractor | ||
| organizations for economically disadvantaged persons identified by | ||
| the comptroller and included in the bid documents that provide | ||
| assistance in recruitment of historically underutilized | ||
| businesses; | ||
| (5) attending any pre-bid meetings scheduled by the | ||
| state agency; | ||
| (6) providing assistance in obtaining a required bond | ||
| or insurance or providing alternatives to bonding or insurance for | ||
| subcontractors; | ||
| (7) negotiating in good faith with interested | ||
| historically underutilized businesses and not rejecting a business | ||
| as unqualified without sound reasons based on the business's | ||
| capability and, if a historically underutilized business is | ||
| rejected based on lack of qualifications, documenting the reasons | ||
| in writing; | ||
| (8) providing assistance to an otherwise qualified | ||
| historically underutilized business in securing needed equipment, | ||
| loan capital, lines of credit, or joint pay agreements, including | ||
| waiving credit that is ordinarily required, and assisting | ||
| historically underutilized businesses in obtaining the same unit | ||
| pricing with the bidder's suppliers in order to help historically | ||
| underutilized businesses in establishing credit; | ||
| (9) negotiating joint venture and partnership | ||
| arrangements with historically underutilized businesses in order | ||
| to increase opportunities for historically underutilized business | ||
| participation on a state construction or repair project when | ||
| possible; and | ||
| (10) providing quick pay agreements and policies to | ||
| enable historically underutilized business contractors and | ||
| suppliers to meet cash flow demands. | ||
| SECTION 2. Section 2161.253, Government Code, is amended by | ||
| adding Subsections (f) and (g) to read as follows: | ||
| (f) If evidence of a good faith effort to implement a | ||
| historically underutilized business subcontracting plan required | ||
| under Section 2161.252 includes notice to minority or women trade | ||
| organizations or development centers to assist in identifying | ||
| historically underutilized businesses, the notice must be provided | ||
| at least 10 working days before the due date for submission of the | ||
| response, including a bid, proposal, offer, or other applicable | ||
| expression of interest. | ||
| (g) If evidence of a good faith effort to implement a | ||
| historically underutilized business subcontracting plan required | ||
| under Section 2161.252 includes notice to historically | ||
| underutilized businesses that the contractor intends to | ||
| subcontract under a contract, the contractor may not require | ||
| historically underutilized businesses to respond to the notice | ||
| before the 10th working day after the date the notice is provided. | ||
| SECTION 3. Section 2161.253, Government Code, as amended by | ||
| this Act, applies only to a contract for which a state agency first | ||
| advertises or otherwise solicits bids, proposals, offers, or | ||
| qualifications, as applicable, on or after September 1, 2011. | ||
| SECTION 4. This Act takes effect September 1, 2011. | ||
